Instructions for filling out the form – Annual information return, payments of interest, calling for withholding of tax at source 2017

The e-filing (VSKTVYSL) and the paper-printed form 7815e are both discussed in the instructions below.

Introduction

Filers must use this information return format for reporting their payments of interest on bank account deposits, interest on personnel service office deposits ('employees' bank', huoltokonttori in Finnish) interest on the balances of client accounts in payment institutions and the interest on bonds and debentures.

Accordingly, this information return format is used for reporting the paid interest on domestic bank deposits received from the public and also for reporting the paid interest on bonds and debentures issued for the public for subscription. Payments of index compensation (indeksihyvitys in Finnish) must also be reported. However, you are not expected to file this information return if you have paid out interest that is tax-exempt under the applicable definitions of law. Similarly, if a transfer of deposits, bonds or debentures has been made and you have paid interest in connection with such transfers you are not expected to file this information return.

If you have paid interest to nonresident beneficiaries you must use another information return format (either VSRAERIE of Form 7809e).

Write the amounts in euros and round them down to the nearest ten cents.

How to file

The deadline for submittal is 15 February the year after the reporting calendar year. For the 2017, the deadline is 15 February 2018.

Making corrections; using the new identifier of the filing

For more information on how to make corrections to annual information returns after you submitted them, see ”Making corrections” (vero.fi > Lomakkeet > Vuosi-ilmoituslomakkeet).

A new process is implemented for entering corrections, involving the submittal of a new return. The information return submitted last will always replace the previous one. There can only be one return with the same identifier. If there is a mistake in the information return, you must invalidate it and send us a replacement.

The identifier for this annual information return is:

File identifier

Type of interest

Year of payment

Payor’s ID

The ISIN code of the issued bond or debenture

The official name of the issued bond or debenture and

Account operator’s Business ID

How to compute the amounts to be withheld

The calculation rule for the tax at source on interest income is that each amount of interest paid must be treated separately and the amounts must be rounded down to the nearest ten cents.

If you pay out interest in non-euro currencies, you must perform the computations after you have converted the paid amounts into euros using the European Central Bank rate of the date of payment.

Type of interest

8A = interest on bank deposit balances8B = interest on bonds/debentures8C = Interest on the balances of deposits in employee banks (personnel service offices), of client accounts in payment institutions, and interest paid by the Finnish branch offices of foreign payment institutions.

Thus the '8A' type includes banks and cooperative savings offices accepting deposits from the public, the '8B' type includes bonds and debentures and '8C' includes employee banks, payment institutions and the Finnish branches of foreign payment institutions. The lines of the annual information return must specify the interest on deposits bank-by-bank, the interest on bonds and debentures separately for each issued bond or debenture, the interest on deposits in employee banks separately for each employer and similarly, the interest on the balances on client account in payment institutions separately for each payment institution involved.

Total paid interest

Write the total amount of interest paid out and taxable at source. Typically the beneficiaries of such interest are tax-resident individuals in Finland – i. e. physical persons fully liable to tax – or estates of deceased persons in Finland. Sometimes the beneficiary is a corporate entity or a consortium. As the payor of interest you are under the obligation to withhold tax at source if the corporate entity has not provided adequate explanation of its tax status to you. If you have paid interest to a corporate entity in such situations report the paid amounts here.

Total amount of tax at source on interest

Write the total amount of tax withheld at source on the paid interest. If the Tax Administration has expressly demanded this you must also list the names, domicile districts and amounts of paid interest of the resident beneficiaries of whom no amounts of tax has been withheld at source.

The party paying interest

Enter the Business ID of the payor of interest.

Examples of parties paying interest are depositary banks, Finnish branches of foreign credit institutions, payment institutions, Finnish branches of foreign payment institutions, employee banks set up by employers to give financial services to their personnel, and issuers of bonds and debentures.

The person to contact

If someone other than the payor files the information – such as a bank that acts as an intermediary and pays the interest on behalf of the issuer of the bonds – write the names of both the bank and the person to contact.